Stellantis (NYSE:STLA) Reaches New 52-Week Low After Analyst Downgrade

Stellantis N.V. (NYSE:STLA)’s share price hit a new 52-week low during trading on Wednesday after Freedom Broker lowered their price target on the stock from $7.50 to $6.80. Freedom Broker currently has a buy rating on the stock. Stellantis traded as low as $4.24 and last traded at $4.2750, with a volume of 6,844,658 shares changing hands. The stock had previously closed at $4.45.

Other research analysts also recently issued reports about the stock. Evercore set a $7.50 price objective on shares of Stellantis in a research report on Friday, July 31st. Citigroup restated a “neutral” rating on shares of Stellantis in a research note on Thursday, July 9th. Sanford C. Bernstein cut shares of Stellantis from a “market perform” rating to an “underperform” rating in a report on Friday, August 7th. Piper Sandler downgraded shares of Stellantis from an “overweight” rating to an “underweight” rating and set a $4.00 target price for the company. in a research note on Monday, July 27th. Finally, Wall Street Zen upgraded shares of Stellantis from a “strong sell” rating to a “sell” rating in a research note on Saturday, September 19th. Two research analysts have rated the stock with a Strong Buy rating, one has given a Buy rating, ten have assigned a Hold rating and seven have given a Sell rating to the stock. Based on data from MarketBeat.com, Stellantis presently has a consensus rating of “Reduce” and a consensus target price of $7.38.

Key Headlines Impacting Stellantis

Here are the key news stories impacting Stellantis this week:

• Positive Sentiment: Stellantis will begin deploying its STLA One vehicle platform with Peugeot in France. A common platform could reduce development costs, accelerate new-model launches and improve manufacturing efficiency. Stellantis to start deployment of STLA One platform with Peugeot brand in France
• Positive Sentiment: The automaker unveiled six concepts, including lower-cost electric vehicles, at the Paris Motor Show. Affordable EVs could help revive European sales and improve Stellantis’ competitiveness against BYD, Tesla and Renault’s Dacia. Stellantis reveals six concepts on eve of Paris show
• Positive Sentiment: Freedom Broker maintained a “buy” rating, although it reduced its price target from $7.50 to $6.80. The revised target still implies substantial upside from the referenced share price, providing some analyst support. Stellantis price target and rating update
• Neutral Sentiment: Stellantis is exploring how much technology from Chinese partner Leapmotor will be incorporated into European vehicles. The relationship may improve EV cost and technology competitiveness, but it also raises questions about regulatory, brand and supply-chain exposure. Stellantis and Leapmotor Chinese technology
• Neutral Sentiment: Management said the auto industry is becoming more regional and expects the U.S. eventually to shift toward EVs, while calling the current U.S. EV market a bubble driven heavily by regulation. Stellantis also said separating its European and U.S. brands is not practical. Stellantis CEO on regional auto markets and EVs
• Negative Sentiment: Third-quarter consolidated shipments fell 1% year over year to approximately 1.3 million vehicles. European battery-electric growth was offset by lower North American volumes following planned production shutdowns. North American shipments dropped 12%, particularly affecting Jeep Grand Cherokee and Compass production. Stellantis Q3 shipments fall
• Negative Sentiment: CEO Antonio Filosa acknowledged that Europe has too much production capacity and is pursuing agreements to avoid plant closures. The comments highlight continuing utilization, restructuring and profitability risks. Stellantis excess European capacity

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the company. KMG Fiduciary Partners LLC purchased a new stake in Stellantis in the 3rd quarter valued at approximately $78,000. Taylor & Morgan Wealth Management LLC increased its position in Stellantis by 84.6% during the 3rd quarter. Taylor & Morgan Wealth Management LLC now owns 24,000 shares of the company’s stock worth $105,000 after purchasing an additional 11,000 shares during the period. Farther Finance Advisors LLC increased its position in Stellantis by 37.2% during the 3rd quarter. Farther Finance Advisors LLC now owns 27,118 shares of the company’s stock worth $118,000 after purchasing an additional 7,357 shares during the period. Avidian Wealth Enterprises LLC purchased a new position in shares of Stellantis during the 3rd quarter worth approximately $450,000. Finally, Versant Capital Management Inc raised its stake in shares of Stellantis by 31.4% during the 3rd quarter. Versant Capital Management Inc now owns 14,496 shares of the company’s stock worth $64,000 after buying an additional 3,467 shares in the last quarter. 59.48% of the stock is owned by hedge funds and other institutional investors.

Stellantis Stock Down 3.9%

The company has a debt-to-equity ratio of 0.59, a quick ratio of 0.76 and a current ratio of 1.04. The firm has a fifty day moving average price of $5.07 and a 200 day moving average price of $6.27. The firm has a market capitalization of $16.09 billion, a price-to-earnings ratio of 10.96, a PEG ratio of 0.35 and a beta of 1.49.

Stellantis (NYSE:STLA) last posted its quarterly earnings results on Tuesday, June 30th. The company reported $0.14 earnings per share for the quarter. The business had revenue of $49.63 billion during the quarter. As a group, sell-side analysts expect that Stellantis N.V. will post 0.44 EPS for the current fiscal year.

About Stellantis

Stellantis N.V. is a global automotive company that designs, engineers, manufactures and sells passenger cars, light commercial vehicles and related mobility products and services. Its portfolio includes brands such as Abarth, Alfa Romeo, Chrysler, Citroën, Dodge, DS Automobiles, Fiat, Jeep, Lancia, Maserati, Opel, Peugeot and Ram.

The company serves customers across North America, Europe, South America, the Middle East and Africa, and other international markets. Its operations include vehicle manufacturing and distribution, financing and leasing, aftermarket parts and services, and the development of connected, electric and software-enabled vehicle technologies.

Stellantis was created in 2021 through the merger of Fiat Chrysler Automobiles and France’s Groupe PSA.